Contract of Employment and Sources
Sources of Terms in Employment Contract
Express - Expressly or specifically stated.
Incorporated terms - Terms placed into the contract from other sources such as staff handb
many other employees.
Implied - Terms that would be considered 'common sense' and 'obvious'.
Crucial regulatory function.
Statutory - Things set out in legislation that must be present.
Formalities - Mandated by statute to have written statement of particulars (what the key terms
Employment Rights Act 1996, s1 — Written Statement of Employment Particulars.
(1) Where an employee begins employment with an employer, the emp
employee a written statement of particulars of employment.
(3) and (4) prescribe details of key terms of the contract which the writ
include
ERA 1996, s1(1) requires the employer to supply the employee with a ‘written statement of
not later than two months after the beginning of employment.
Major features
s1(3)
Name and address of employee/employee.
Date that employment commenced.
Date when continuous employment began.
s1(4)
Remuneration (wages).
Hours of work.
Holiday entitlement and holiday pay policy.
Sickness, injury and pensions.
, Although doesn't provide conclusive evidence, can provide evidence of what the con
Gascol Conversions Ltd v Mercer [1974] IRLR 155.
ET may draw adverse inference from employer's failure to provide a clarifying state
dispute.
Statement not provided or inaccurate - Can apply to ET to determine necessary particu
ERA 1996, s11.
Mears v Safecar Security (1982) ICR 626.
Currently no general financial penalty for failure to provide statement.
Successful claim made to ET on matter listed in Employment Act 2002, sch. 5 but t
financial penalty imposed if employer in breach of duty to give written statement un
2-4 weeks gross pay.
Express
Terms covering conditions of work might be found elsewhere such as:
Collective agreement.
Staff handbook.
Company website.
Email.
Noticeboard.
Significance of Incorporation.
Terms binding on both parties - Not respected: breach of contract.
Whether terms are incorporated - Depends on rules of incorporation:
Various ways.
Often the employer who argues that terms have not been incorporated - Argue these w
be changed; not binding.
Sometimes employee who argues the term has not been incorporated, e.g., variation/fl
How are terms incorporated?
Express incorporation.
Custom and practise - Usually the issue that concerns collective agreements and handbook
Trade Union and Labour Relations (Consolidation) Act 1992, s179 states that collective agr
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